Things to know about minimum wage in Nigeria

Here are key things to know about minimum wage in Nigeria:

Current Minimum Wage
– As of 2022, the minimum wage in Nigeria is ₦30,000 (approximately $75 USD) per month.
History of Minimum Wage in Nigeria
– 1981: ₦125 (approximately $0.31 USD)
– 1990: ₦250 (approximately $0.62 USD)
– 2000: ₦5,500 (approximately $14 USD)
– 2011: ₦18,000 (approximately $45 USD)
– 2019: ₦30,000 (approximately $75 USD)
Minimum Wage Laws
– The National Minimum Wage Act (2019) sets the minimum wage for all employees in Nigeria.
– The Act applies to all employers, including federal, state, and local governments, as well as private sector organizations.
Exceptions
– Employees in the informal sector, such as artisans, traders, and farmers, are not covered by the minimum wage law.
– Small businesses with fewer than 50 employees may be exempt from paying the minimum wage.
Challenges
– Inflation: The minimum wage has not kept pace with inflation, reducing its purchasing power.
– Non-compliance: Some employers, especially in the private sector, do not comply with the minimum wage law.
– Poverty: Despite the minimum wage, many Nigerians still live below the poverty line.
Impact on Workers
– Improved standard of living for minimum wage earners.
– Increased consumer spending power.
– Reduced poverty and inequality.
State-Specific Minimum Wages
– Some states, like Lagos, have implemented higher minimum wages (₦35,000 – approximately $87 USD).
Future Plans
– The Nigerian government has proposed a review of the minimum wage every five years to keep pace with inflation.
Note: These figures are subject to change, and this information may not reflect the current situation. For the most up-to-date information, consult the Nigerian government’s official websites or reputable news sources.
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